Bitcoin has moved out of oversold territory, raising the prospect of further gains. A technical rebound signal is being joined by spot ETF inflows and expectations around U.S. efforts to push a crypto market structure bill, putting focus on whether the uptrend can continue.

On Aug. 25, Bitcoin Magazine reported that Fairlead Strategies managing partner Katie Stockton (케이티 스톡턴) appeared on CNBC and said, "Bitcoin is no longer oversold. But at the same time, it is not overbought," adding there is room for further gains.

Stockton cited bitcoin's recovery of its 200-day moving average in May as a key signal. She said the move could lead to a breakout above resistance levels. She explained that immediate follow-through gains confirming the breakout are particularly important.

Recent price action is also supporting the bullish view. Bitcoin has risen since the U.S. Treasury said last week it would at least double the scale of its buyback operations to support liquidity. It gained more than 22 percent over the past seven days and traded at about $78,915 at the time of publication. It also climbed above $81,000 the previous day.

Bitcoin had traded below $65,000 for most of June and July. In that period, the bitcoin market logged its lowest volatility level in its 17-year history. As price moves have widened again, the market is increasingly focused on whether the prolonged sideways trend could shift direction.

Some analysts view the latest rally as a return of the so-called "currency debasement trade." It refers to investors buying assets such as gold or bitcoin when concerns about a decline in the value of fiat currencies grow.

After the U.S. Treasury's announcement, gold and bitcoin rose together as the dollar weakened. Bitcoin supporters have argued that bitcoin can serve as a hedge against government monetary expansion.

Institutional flows also improved. U.S. investors put money back into spot bitcoin ETFs last week, and the group of products recorded its strongest weekly inflow since October last year. Weekly inflows were close to $2 billion.

Expectations for tighter crypto regulations in the United States are also cited as a variable. U.S. President Donald Trump met crypto industry executives at the White House last week and said the crypto market structure bill known as the "Clarity Act" would put the United States ahead of China.

The U.S. legislature was initially expected to pursue a vote on the Clarity Act in August, but the vote slipped to September. The bill includes provisions to create a market structure that classifies digital assets into securities, commodities and payment stablecoins, among others.

The bitcoin market is watching how technical rebound signals align with inflows of institutional funds and the U.S. crypto policy timetable. Attention is focused on whether bitcoin can break through key resistance levels and extend gains, as Stockton outlined.